SOCIAL IMPACTS OF COVID19 PANDEMIC ON THE INFORMAL SECTOR IN NIGERIA

Abstract

This paper centers on the impacts of the COVID-19 pandemic on the informal sector workers in Africa with a focus on Nigeria. The goal of this study was to determine the extent to which the COVID-19 pandemic has impacted Nigeria's informal sector, as well as to prescribe solutions to the concerns. As such, the study adopted a desktop research approach in which a thematic analysis of existing literature on the informal sector in Nigeria served as the basis for the arguments presented. Key issues highlighted in the paper include socio-cultural factors influencing the growth of the informal sector in Nigeria, as well as the socio-cultural factors that worsened the COVID-19/economic crisis in Nigeria. The impact of the COVID-19 pandemic on the informal sector in Africa as a whole, and Nigeria in particular, was also discussed in the paper. Theoretically, there are two opposing perspectives on the informal economy's role in a crisis: optimistic perspectives that see the informal economy surviving the crisis, and pessimistic perspectives that see the ongoing informal economy continuing to suffer losses, as well as informal workers as vulnerable groups during a crisis. Furthermore, the study provides conclusions and recommendations for resolving the issues. The guidelines include but are not limited to the following: Government should ensure availability and accessibility of quality health services; informal sector workers should collaborate with non-governmental organizations and social workers to press for policy change that will improve their welfare; and finally, government, non-governmental organizations and social workers should provide financial support to the informal sector in the form of low-interest loans and grants to provide capital.